Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services.

Why ION Geophysical's Shares Jumped

Is this meaningful or just another movement?

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of ION Geophysical(NYSE: IO) soared as much as 23% today after the company released its first-quarter earnings report.

So what: Revenue grew 23% to $90.6 million and net income was $8.2 million, or $0.05 per share. Both results beat expectations, driven by a 53% increase in system segment sales.

Now what: Management is also upbeat about the outlook for 2012 and is investing heavily in the business. Despite the growth, shares are trading at just over 10 times forward earnings estimates. I think shares have further to run with the company reporting strong revenue growth and the industry as a whole expanding explorations for energy.

Interested in more info on ION Geophysical? Add it to your watchlist byclicking here.